RE:RE:WELL Health Technologies is a Buy, says Eight CapitalLarryBird wrote: Who is this company " Eight Capital "? Are they a paid promoter ? 5x sales is an extremely generous valuation for WELL. Can you please name a competitor for WELL and comment on what the going P/S ratio is for them? I thought "price to sales" metric is a metric many don't use anymore in current macro environment. Specially for a company where most of the revnue comes from CRH?
it's an investment bank which provides analyst coverage, among many other banks/FIs.
I don't think it's the right metric to value *all* of WELL on (or a very good metric to begin with) but HCIT multiples are not far off this level. I posted a comparable sale here a few months back and I think it was at a 3X Revenue multiple for a much smaller company with lower growth prospects. WELL does differentiate from many in this space as they are EBITDA and cashflow positive. all of this being said, $12 target is out there - even in a takeover scenario.
just curious what exactly is your beef with CRH? you seem to point to this area of the company often?